49 U.S. Code § 44303 - Coverage

(a) In General.— The Secretary of Transportation may provide insurance and reinsurance, or reimburse insurance costs, as authorized under section
44302 of this title for the following:

(1)an American aircraft or foreign-flag aircraft engaged in aircraft operations the President decides are necessary in the interest of air commerce or national security or to carry out the foreign policy of the United States Government.

(2)property transported or to be transported on aircraft referred to in clause (1) of this section, including—

(A)shipments by express or registered mail;

(B)property owned by citizens or residents of the United States;

(C)property—

(i)imported to, or exported from, the United States; and

(ii)bought or sold by a citizen or resident of the United States under a contract putting the risk of loss or obligation to provide insurance against risk of loss on the citizen or resident; and

(D)property transported between—

(i)a place in a State or the District of Columbia and a place in a territory or possession of the United States;

(ii)a place in a territory or possession of the United States and a place in another territory or possession of the United States; or

(iii)2 places in the same territory or possession of the United States.

(3)the personal effects and baggage of officers and members of the crew of an aircraft referred to in clause (1) of this section and of other individuals employed or transported on that aircraft.

(4)officers and members of the crew of an aircraft referred to in clause (1) of this section and other individuals employed or transported on that aircraft against loss of life, injury, or detention.

(5)statutory or contractual obligations or other liabilities, customarily covered by insurance, of an aircraft referred to in clause (1) of this section or of the owner or operator of that aircraft.

(6)loss or damage of an aircraft manufacturer resulting from operation of an aircraft by an air carrier and involving war or terrorism.

(b) Air Carrier Liability for Third Party Claims Arising Out of Acts of Terrorism.— For acts of terrorism committed on or to an air carrier during the period beginning on September 22, 2001, and ending on September 30, 2014, the Secretary may certify that the air carrier was a victim of an act of terrorism and in the Secretary’s judgment, based on the Secretary’s analysis and conclusions regarding the facts and circumstances of each case, shall not be responsible for losses suffered by third parties (as referred to in section
205.5(b)(1) of title
14, Code of Federal Regulations) that exceed $100,000,000, in the aggregate, for all claims by such parties arising out of such act. If the Secretary so certifies, the air carrier shall not be liable for an amount that exceeds $100,000,000, in the aggregate, for all claims by such parties arising out of such act, and the Government shall be responsible for any liability above such amount. No punitive damages may be awarded against an air carrier (or the Government taking responsibility for an air carrier under this subsection) under a cause of action arising out of such act. The Secretary may extend the provisions of this subsection to an aircraft manufacturer (as defined in section
44301) of the aircraft of the air carrier involved.

In this section, before clause (1), the words “persons, property, or interest” are omitted as unnecessary. In clause (2), the word “property” is substituted for “Cargoes” and “air cargoes” for consistency in the revised title. In clause (2)(B) and (C), the words “its territories, or possessions” are omitted as unnecessary because of the definition of “United States” in section 40102(a) of the revised title. In clause (2)(C)(ii), the word “contract” is substituted for “contracts of sale or purchase”, and the words “putting . . . on” are substituted for “is assumed by or falls upon”, to eliminate unnecessary words. In clause (2)(D), the word “place” is substituted for “point” for consistency in the revised title. In subclause (i), the words “a State or the District of Columbia” are substituted for “the United States” for clarity and consistency because the definition of “United States” in section 40102(a) of the revised title is too broad for the context of the clause. The definition in section
40102(a) includes territories and possession and would therefore overlap with subclauses (ii) and (iii). In subclause (iii), the words “2 places in the same territory or possession of the United States” are substituted for “any point in any such territory or possession and any other point in the same territory or possession” for clarity. In clauses (3) and (4), the word “individuals” is substituted for “persons” as being more appropriate. The words “captains” and “pilots” are omitted as being included in “officers and members of the crew”.

Codification

The text of section 201(b)(2) ofPub. L. 107–42, which was transferred and redesignated so as to appear as subsec. (b) of this section and amended by Pub. L. 107–296, was based on Pub. L. 107–42, title II, § 201(b)(2),Sept. 22, 2001, 115 Stat. 235, formerly included in a note set out under section
40101 of this title.

2009—Subsec. (b). Pub. L. 111–117, which directed the substitution of “December 31, 2010,” for “December 31, 2009,”, could not be executed due to the intervening amendment by Pub. L. 111–69. See below.

Subsec. (b). Pub. L. 108–176, § 106(b), inserted at end “The Secretary may extend the provisions of this subsection to an aircraft manufacturer (as defined in section
44301) of the aircraft of the air carrier involved.”

2002—Pub. L. 107–296designated existing provisions as subsec. (a), inserted heading, transferred and redesignated the text of section 201(b)(2) ofPub. L. 107–42so as to appear as subsec. (b), in heading substituted “Air Carrier Liability for Third Party Claims Arising Out of Acts of Terrorism” for “Discretion of the Secretary”, and in text substituted “the period beginning on September 22, 2001, and ending on December 31, 2003, the Secretary” for “the 180-day period following the date of enactment of this Act, the Secretary of Transportation” and “this subsection” for “this paragraph”. See Codification note above.

Amendment by Pub. L. 108–176applicable only to fiscal years beginning after Sept. 30, 2003, except as otherwise specifically provided, see section 3 ofPub. L. 108–176, set out as a note under section
106 of this title.

Effective Date of 2002 Amendment

Amendment by Pub. L. 107–296effective 60 days after Nov. 25, 2002, see section 4 ofPub. L. 107–296, set out as an Effective Date note under section
101 of Title
6, Domestic Security.